Comp store sales for Q2 were up 5%. Men's comps were up 7%, which represents our biggest increase in Men's since 2004, and Women's continued to improve with the 2% comp coupled with better margins. Our e-com business also performed well with a 15% increase.
Merchandise margins were up 260 basis points, and inventory at the end of the quarter was down 6% on a comp basis. And both GAAP and non-GAAP EPS improved significantly with non-GAAP EPS, a loss of $0.08 versus $0.17 a year ago.
Newer emerging brands such as Diamond, Crooks and Castles, Young & Reckless and Modern Amusement are leading the growth in our Men's business, coupled with Vans and Nike, which are anchoring our men's footwear business. Roxy and Billabong continue to be important brands in our Women's business. Yet in this fast-changing world of Instagram and Pinterest, it is increasingly clear that trend-right product is absolutely essential to success with our target 17- to 24-year-old female customers.
We continue to receive positive feedback from customers, brands and our own sales associates in response to the rollout of our Golden State of Mind brand positioning. Customers are experiencing our brand and our unique filter of California lifestyle through multiple touch points in our stores and online, and we believe this will continue to be a critical differentiator for PacSun as we reestablish an emotional connection with customers across the entire United States.
We know our customers are living online, and we are identifying the most effective ways to connect with them, looking for places where PacSun can live in their digital world. As some of you may recall, we rolled out gsom.com, a new domain that embodies the PacSun California lifestyle earlier in the second quarter. As PacSun's highly interactive brand experienced site, gsom.com allows the user to experience all things California in 6 key categories, including fashion, music, art, entertainment, action sports, and of course, with our brands.
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